Written by Alex Bredeen
We are delighted to announce that Carta, the Silicon Valley Tech Giant, has acquired our portfolio business, Capdesk!
US equity unicorn Carta is acquiring European equity management leader Capdesk as part of their shared vision to solve the illiquidity of private markets
With a joint mission to democratise ownership in private companies, the pair empower businesses worldwide to scale without borders
The deal will see Capdesk customers gain access to Carta products and services while Carta leverages Capdesk’s deep expertise of the UK and European markets to expand its reach
Mark Pearson, General Partner & Founder of Fuel Ventures said: What an incredible journey it has been with Capdesk over the last 3 years! The business has had such an impact in equity management and has enabled so many companies across Europe to keep track of their cap tables as they scale and manage secondary transactions. It was no surprise Carta, who are looking for a foothold in Europe and have been following them for some time, have now acquired them. This is another incredible result for Fuel Ventures and our investors.
Capdesk – Europe’s leading equity management solution has been acquired by Silicon Valley unicorn and equity giant, Carta. Founded in 2015, London-based Capdesk is trusted by over 3500 of Europe’s fastest-growing companies – including Gousto, VOI, Checkout.com, Plum Guide and Wagestream – to manage their ownership via a single platform. The fintech oversees more than £90 billion worth of assets and has created an end-to-end equity management system that serves customers at every stage – from seed to IPO.
Silicon Valley-based Carta provides equity management to more than 30000 companies, 5000 funds and half a million employees. It supports users with cap tables, compensation, valuations, portfolio investments, liquidity, and more, and has managed over £1.5 trillion in equity to date. Companies and funds like Canva, Tribe, and Pipe build their businesses on Carta. Capitalising on regional success Over time, the acquisition will see Capdesk customers gain access to products and services from Carta, including 409a valuations and compensation benchmarking data. Carta, meanwhile, will leverage Capdesk’s expertise, dominance and unique understanding of equity in European markets, to further expand its services across the globe. Capdesk’s platform uniquely caters to the requirements of HMRC and Companies House in the UK as well as other regulatory authorities throughout Europe.
Towards a global equity solution The acquisition is founded on Capdesk and Carta’s shared vision of building a truly global ownership platform that enables more ownership, fairer terms and more access to equity in private companies while freeing founders, investors and employees from outdated, manual processes.
The deal comes at a time of increasing uncertainty across the global markets landscape. The expertise, data-led tools and transparent nature of both Capdesk and Carta’s solutions can help companies plan against shifting conditions. The two solutions help startups attract the best talent; empower employees to own and access the wealth they helped create, at a time that suits them; and equip investors with greater control over their portfolios.
Momentum despite the current market conditions
Despite wider market turbulence, Capdesk has seen the continued growth and success of its product in Europe, doubling revenue in the last 12 months and counting 19 European unicorns as customers. This performance positioned Capdesk as the clear choice for Carta. Since being founded in 2015, Capdesk has raised £11.7 million in funding from global investors including Fuel Ventures, Fidelity International Strategic Ventures. While Capdesk was in discussion with financial institutions and European exchanges regarding Series B fundraising, the team entered talks with Carta. As part of the deal, Capdesk will operate as an independent business unit within Carta for the time being.
Christian Gabriel, Co-Founder & CEO, Capdesk: “We founded Capdesk with a vision of changing finance for good by leveraging the power of equity for the benefit of founders, investors and employees alike. I’m thrilled we’ve identified a shared vision in Carta. This deal will enable us to further strengthen our position across Europe.”
Henry Ward, Co-Founder & CEO, Carta: “We’ve been following Capdesk’s impressive journey for years. Before Capdesk, employers would have had to manage equity manually with legal counsel in each country. With Capdesk, employers can simply onboard and trust one single provider with managing the detailed requirements of multiple jurisdictions. Capdesk’s founders — Christian, Martin, and Mikkel — have led a cross-border equity revolution. We’re thrilled to be welcoming their vision, expertise and experience to the Carta fold and we’re grateful to have all three founders stay on as key leaders within the company.”